LOF31.5% The net value of Guotou Ruiyin Silver LOF fell by 31.5%, setting a record for the largest single-day decline in public funds! The company responded that it was due to adjustments in valuation.

Tonight, after updating the net value of the Guotou UBS Silver LOF, it was shown that the single-day decline reached 31.5%, setting a new record for the single-day decline in public fund history. The fund company announced that a valuation adjustment had been made for the Guotou UBS Silver. In the recent extreme market conditions, the daily fluctuation in the international silver futures market price far exceeded the limits of price movement for silver futures on the Shanghai Futures Exchange. At this time, if the valuation is still based on the settlement price of silver futures on the Shanghai Futures Exchange, it may result in the net value of the fund not fully and timely reflecting the true fair value of the underlying assets. Therefore, in order to ensure that the net value of the fund can accurately and fairly reflect the condition of the underlying assets, the company has decided to conduct a reasonable revaluation of the fund's assets based on the extent of price changes in the international silver futures market. For example, assuming that the international silver price drops by 30%, but constrained by a 17% price limit, the price of silver futures on the Shanghai Futures Exchange only drops by 17%, if the fund continues to be valued at this 17% decline, its net value will "overestimate" the actual asset value, resulting in what is known as "valuation lag". This deviation means that the net value on the fund's books no longer accurately represents the true value of its held assets. The company stated that in the future, it will comprehensively consider various relevant influencing factors and consult with the fund's custodian before reverting to the settlement price valuation method after the aforementioned contract transactions reflect active market trading characteristics.